Outlook for European Property in 2013
The ECB’s commitment to unlimited bond purchases, where necessary, in the euro periphery has calmed sovereign debt markets and helped underpin some signs of improvement in market sentiment and business confidence at the start of 2013.
European economies still face a weak growth outlook in 2013 and occupier market trends are likely to be little changed in the next 12 months. Rental growth will remain elusive.
Both occupational and investment markets in European real estate will continue to show marked north-south disparities in 2013, with core markets in the north expected to record stability or even some improvement in pricing for prime property.
The trend for good secondary assets in stronger markets to attract greater investor interest looks set to gather pace in 2013.